Coffee Knowledge: What Schultz Told Chinese Partners About Starbucks China
Starbucks interim CEO Howard Schultz published an open letter to Chinese partners on the official website at the New Year. He thanked the China team for supporting one another and serving customers through years of pandemic disruption, and said he speaks with the China leadership team weekly and is in daily contact with Belinda Wong. He stated confidence that China will eventually become Starbucks' largest global market.
The letter also addressed the near term. Schultz noted infections rose sharply in China from early December, affecting partners' lives and the business, and repeated that the health and well-being of partners and their families comes first. He described the recovery path as non-linear, while pointing to released consumer demand as the driver of business recovery once China moves past the pandemic phase.
Starbucks interim CEO Howard Schultz published an open letter to Chinese partners on the official website on the occasion of the New Year, reviewing the resilience and dedication shown by the Chinese team over the past few years amid the impact of the pandemic, and expressing firm confidence in the prospects of the Chinese market. In the letter, he revealed that he communicates with the Chinese leadership team every week and stays in touch with Belinda Wong daily, and pointed out that as China enters the post-pandemic phase, the release of consumer demand will drive business recovery. Although the road ahead is non-linear, he believes China will eventually become Starbucks' largest market. Below is the full text of the speech and its translation.
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Today, Starbucks interim CEO Howard Schultz delivered a New Year message to Chinese partners through the official website, expressing his expectations for the development prospects of the Chinese market. The following is the original text of the message:
(The following content is a translation)
Dear Chinese partners—
During the holiday season, I have been thinking of all of you and your families. As we enter a new calendar year, I keep reflecting on the many severe trials you have faced over the past few years. Even as your family and work lives were repeatedly disrupted, you still supported one another, served customers, and gave back to your communities, demonstrating selflessness and amazing resilience, for which I am deeply grateful. True character is often revealed only in adversity. Thank you for upholding our values and embodying the essence of Starbucks.
I discuss matters with the Starbucks China leadership team every week and stay in contact with Belinda Wong every day to closely monitor developments in China. I was deeply saddened to learn that the number of infections in the country has risen sharply since early December, which has severely affected and will continue to severely affect your lives and our business. I want to emphasize once again that the health and well-being of you, your families, and your partners will always be our top priority. As China enters the post-pandemic phase and gradually moves toward full reopening, we will continue to provide protection and support to our partners.
In time, people's lives will gradually return to normal and back to the pace they had before the pandemic, which will undoubtedly help revive our business in the Chinese market. Customers are eager to return to their familiar daily routines and lifestyles, and once people feel it is truly safe to venture out, the enormous pent-up consumer demand will burst forth. That moment will come. At that time, customers will flock to our stores to enjoy time reconnecting, savor their favorite Starbucks beverages, and experience the high-quality Starbucks experience that you provide.
That said, as Belinda has said many times, challenges and uncertainties remain, and the road to recovery ahead will not be linear. Although the spread of COVID-19 over the past two months has affected all retail businesses in China, we believe this disruption is only temporary, and our stores and customers will gradually return to normal.
I am so certain because Starbucks' commitment to China, and to our partners and business in China, has never wavered, and remains unwavering today. I have always believed that even after more than two decades in the Chinese market, we are still in the early chapters of China's development story. I believe that one day China will become Starbucks' largest market. Because of you—our Chinese partners—I am deeply convinced of this. The ability you have demonstrated in responding to every challenge and overcoming every obstacle and period of turbulence, as well as the stronger operational strength you have built through every unexpected test, give me the greatest confidence beyond anything I could have imagined in the future of our business in China. In the coming decades, Starbucks will continue to invest in you and in China. I promise you, our best days are still ahead.
Please believe me, I cannot wait to meet everyone in China as soon as possible. I will look for the first such opportunity. In the meantime, as Lunar New Year approaches, please accept my best wishes for you to reunite with your families and celebrate a healthy and prosperous Year of the Rabbit.
The above content is compiled by CoffeeHunters, a coffee news website.
